Selling in the B2B world can be challenging, especially in the construction sector, with so many businesses offering comparable products or services. As markets become more competitive and unique propositions become less distinctive, there is a greater need to find new ways to add value for customers.
Welcome to Part 1 of a four-part series: “What Do B2B Customers Really Value?”
B2B construction marketing decision-makers
Marketing in any sector comes with challenges, regardless of whether it’s B2B or B2C. However, the construction sector can be particularly challenging given its varied target audience.
No fewer than five different customer groups need to be engaged with the merits of your product and/or service. These five groups decide which materials will be used on a construction site. The descriptions that follow are written from the standpoint of a product manufacturer. The decision-makers are listed in order from the first to the last.
The decision-makers
1. Initiators
These are the Managers or Owners of a building. Their requirements may include faster construction completion, higher rent returns, lower operating costs (such as maintenance and energy use), lower risk (of business interruption), and greater resale value.
2. Creators
The building’s Engineers, Architects, and Designers. Based on a product’s or feature’s capacity to provide the required performance—technical, physical, aesthetic, and legal compliance—they decide whether to include it in a building design. Being mentioned in design specifications is a major demand driver for many material manufacturers, which is why it’s always beneficial to engage early in the process.
3. Enablers
Enablers are the Principal Builders or Contractors accountable for completing a project on schedule and within budget. Based on the demands of the ‘Creators,’ they must fulfill the needs of the ‘Initiators.’ They might request specialised subcontracting firms for supply and installation depending on the material.
4. Deal Makers
These individuals are Distributors, Resellers, or Retailers – or collectively, Channel Partners. The product is supplied to a Contractor or Subcontractor at this particular point of the sale, and therefore the Channel Partner or Partners will require dependable supply, a competitive offer, a recognisable brand, and the capacity to meet demands (of demand generators) at a profit. This is extremely important to get ALL of these requirements fulfilled – because what comes next could mean you fall at the final hurdle.
5. Adopters / Disruptors
The Installers and Subcontractors. They are the final piece of the puzzle – and one you don’t want to lose. They prefer products that are simple and quick to install, easy to purchase, safe to handle, and sufficiently reliable to prevent claims for repair or replacement. They may either choose to adopt the material selection recommended by the engineer and architect, or they may break spec by suggesting a different material that they deem to be advantageous (e.g. lower cost, easier to purchase, or easier to use).
This is why you have to make number 4 believe that you’re number one.
The success of construction material manufacturers depends on addressing these five touchpoints. Marketers of these materials must adhere to the requirements of each of the five customer types and tailor their value propositions to suit. Understanding each type’s level of risk aversion is crucial because it has an impact on how quickly product innovations are adopted. One of the challenges and joys of B2B construction marketing is managing the complexity of messaging within the touchpoints.
The success of construction material manufacturers depends on addressing these five groups. Understanding each type’s level of risk aversion is crucial because it has an impact on how quickly product innovations are adopted. One of the most challenging and interesting parts of B2B construction marketing is figuring out how to manage the different messages and what each group values most.
Bain and Company, a global management consulting firm, set out to ‘dig deeper.’ They reviewed and analysed three decades’ worth of customer studies and identified 40 elements of value to B2B buyers. And that’s what I’ll be covering in Part 2.
